Biden Administration Investigates Chinese-Made ‘Smart Cars’ Gathering Sensitive Information
In a move to protect national security, the Biden administration has launched an investigation into Chinese-made “smart cars” that have the capability to collect sensitive information about American drivers. The probe aims to prevent China from using advanced technology in electric and connected vehicles to track individuals and their personal data. While this action falls short of a ban on Chinese imports, President Joe Biden is determined to safeguard Americans’ data and take unprecedented steps to address the issue.
President Biden expressed his concerns about China’s unfair practices and their potential to flood the American market with vehicles, posing risks to national security. He stated, “I’m not going to let that happen on my watch.” This investigation is part of a broader effort by the Biden administration to counter the growing threat of Chinese cyberattacks. Earlier this week, Biden signed an executive order aimed at protecting Americans’ personal data from foreign adversaries like China and Russia.
Commerce Secretary Gina Raimondo emphasized the serious national security risk posed by connected cars, referring to them as “smartphones on wheels.” These vehicles are connected to the internet and collect vast amounts of sensitive data, including personal and biometric information. Raimondo warned that China, with access to such information at scale, could pose a significant risk to national security and the privacy of U.S. citizens.
The concern extends beyond data collection. Connected vehicles could also be remotely manipulated or disabled by malicious actors. Raimondo highlighted the potential scenario of thousands of Chinese-connected vehicles on American roads being simultaneously disabled by someone in Beijing. The cyber risks and espionage threats associated with these vehicles are alarming.
China’s Foreign Ministry spokesperson, Mao Ning, criticized Biden’s order, claiming that it oversteps the concept of national security and is discriminatory against certain countries. However, officials believe that tariffs alone are not sufficient to address the problem, as some Chinese companies have set up assembly plants in nearby countries to avoid U.S. tariffs.
To address the national security risks posed by connected vehicles from China and other hostile countries like Russia and Iran, the Commerce Department is initiating an investigation. The department will gather information from the auto industry and the public to assess the nature of these risks and develop potential regulations. The goal is to protect privacy and national security before Chinese-manufactured vehicles become widespread in the United States.
The investigation is the first action taken by the Commerce Department’s Bureau of Industry and Security under Biden’s executive orders to safeguard domestic information and communications technology from national security threats. Electric vehicles and other cars heavily rely on advanced technologies for navigation, driver-assist features, and reducing carbon emissions. However, these constant connections with personal devices, infrastructure, and manufacturers pose significant national security risks.
While high tariffs have deterred Chinese automakers from entering the U.S. market, concerns remain that Chinese companies may absorb the additional costs as China increases its reliance on exports. The Alliance for Automotive Innovation, representing major automakers such as Ford, General Motors, and Toyota, supports Biden’s goal of protecting public safety. They urge close collaboration between Commerce and the auto industry to ensure any actions target transactions that pose undue risk while not impeding low-risk transactions that advance safety technologies.
The Alliance for American Manufacturing echoes the need to address data security in connected vehicles manufactured by Chinese companies. They hope that this investigation leads to decisive action, including higher tariffs and limitations on EV tax credits, to protect national and economic security.
The European Union has also expressed concerns about rising imports from China and has opened a trade investigation into Chinese subsidies for electric vehicles. The investigation is ongoing.
As the Biden administration takes proactive measures to safeguard national security and protect Americans’ data, the investigation into Chinese-made “smart cars” marks a significant step in addressing the potential risks associated with connected vehicles.